Are you financially prepared to retire?

N1407P48022HA Reverse Mortgage could answer this question for you
Are you financially prepared to retire?

The days of saving large sums of money, paying off the mortgage on the family home and retiring comfortably are now out of reach for many Canadians. Many are heading to their retirement years carrying debt and wishing to maintain a lifestyle they have enjoyed throughout their working years. The fear of needing to sell their home to have enough money to retire could be keeping homeowners in the workforce long beyond the time they had hoped to be free of the 9 to 5. Enter the Reverse Mortgage…for Canadians 55 and over, a product that is based solely on the equity available in the home. Qualifying for a reverse mortgage can be as simple as establishing ownership of the home, ensuring property taxes are up to date and equity is available.
Credit and income do not play a part at all! A reverse mortgage provides borrowers with a lump sum, often up to 55% of the value of the home – sometimes less depending on the location. The appeal of this mortgage is in the repayment. No payments are required until the home is sold!
Unlike conventional mortgages, which will require regular payments, the reverse mortgage allows borrowers to access their equity without repayment until they are ready to make a move. There is a built-in security feature in some reverse mortgages. Should the housing market shift and the home value drops below the amount of the reverse mortgage, the lender absorbs the difference – not the homeowner. Keep in mind that if the family home is to form a significant part of money to be passed on to children in the future, this product has safety catches in place to help meet your overall needs. It is best to speak to a certified Reverse Mortgage Specialist…ask your Mortgage Broker if they have been certified to ensure that you are comparing all the available reverse mortgage products on the market today. Your Mortgage Broker will help you decide if now is the time to put your home equity to work for you. – Written by Andrea Sammut Mortgage Agent, CAAMP Mortgage Architects